Centre Scraps 12-Minute TV Ad Cap, Gives Broadcasters More Flexibility

New Delhi: The Centre has decided to remove the existing 12-minute-per-hour cap on television advertisements, citing significant changes in the broadcasting sector and the need to create a more level playing field between traditional television and digital media.

The advertisement duration cap was introduced in 2006 under the Cable Television Networks Rules, 1994, when India’s television landscape was considerably smaller and less competitive. At the time, the country had only around 62 television channels, while the number has now crossed 900.

The Ministry of Information and Broadcasting said the television sector has undergone substantial transformation over the past two decades. Cable television, which was the primary distribution platform in 2006, was then largely analogue and had limited carriage capacity, restricting the choices available to viewers.

Digitalisation changes TV distribution

The complete digitisation of the cable television sector has since transformed the distribution ecosystem. Platforms such as Direct-to-Home (DTH), Cable TV, Headend-in-the-Sky (HITS) and IPTV now offer hundreds of channels to consumers.

According to the government, these platforms generally carry 300 to 500 or more channels, providing viewers with a wider range of content and creating greater competition within the market.

Against this backdrop, the government felt that the existing restrictions on advertisement duration needed to be reconsidered.

Move aimed at creating level playing field

The Ministry said television broadcasting in India remains heavily dependent on advertising revenue, irrespective of whether a channel operates on a pay or free-to-air model.

The government also noted that traditional television channels have been operating under advertisement-duration restrictions while digital media platforms are not subject to a comparable cap. The difference, it said, has resulted in a non-level playing field between the two segments.

The removal of the cap is therefore intended to allow television broadcasters greater flexibility in managing their advertising inventory while promoting competition between television and digital platforms.

To come into force after notification

The Ministry of Information and Broadcasting is of the view that sufficient competition now exists both within the television industry and between television and digital media.

The government said removing the advertisement-duration cap will help promote fair competition and ease of doing business in the broadcasting sector.

The decision will come into effect from the date on which the amendment to the Cable Television Networks Rules, 1994 is notified in the Gazette.